This article may change everything you thought you knew about your home loan.
Hello, My name is Ryan Johnson and I am a loan officer at Low VA Rates and have been involved in the mortgage industry for the past 6 years. I did not start out working with Military though if I could turn the clock back I would have. To better understand this article I think I need to explain a little bit about how my experience in the mortgage world began.
I got involved in loans when it seemed everyone that wanted to make lots of money was somehow into real estate, hard money, flipping a home or working at a mortgage broker. It seemed this was a smart thing to do. Who cares if I had a Masters degree and had a great job at a technology company, I wanted more. I wanted my share of the “everyone is making money” real estate game and mortgages is where I landed. A family member of mine was finding great success (at least we thought so at that time) doing option arm loans. The option arm loan is the loan that promised .99% interest rate and then you could even defer your interest and make a $500 payment on a $1,000,000 loan and who cared if your balance went up every month? You could take the money you saved and buy more houses, or invest it or hey you could just sell the house for twice what you paid yesterday correct? Well for many of you this may sound all too familiar.
You see things did not work out well for me doing the option arm because, by the time I started, this loan and the housing bubble were beginning to bust! I not only found that all that glittered was not golden, but I thought I hated doing mortgages and by all means any loan that mentioned ARM had to be avoided at all cost. Well luckily for me I had one more chance to make it as a mortgage guy. Fast forward till today and I feel I have made it and am even known around here as Ryan Johnson, VA Loan Guy.
I ended up working at a company (now Low VA Rates) that focused completely on VA loans. That is right, dry, boring, black and white VA home loans. This company never once sold or tried to sell an option arm or any other subprime toxic mortgage. I am not just saying this. I have heard from mortgage account rep after rep that for years they tried to get us to sell or offer the toxic mortgages that so many were making great money off of and Low VA Rates just would not sway from their business model, which was and still is offering safe, stable, VA loans that people can afford to pay.
Well, the past few years that has really paid off for employees of Low VA Rates and the men and women clients that have gotten their loans here. When mortgages and housing collapsed, business actually grew here and our record years were 2008-2009 when so many other major banks failed and closed their doors. Coming from the outside and looking in I just could not believe what I was seeing. Well, that did not matter, I liked what I was seeing and have enjoyed it ever since.
Okay, that was a long introduction to get to my main point, but I feel it was necessary to really drive home what I want you all to understand. Rewind to where I learned through real experience that I would steer clear of anything with the words ARM and LOAN in them. About a year ago, my office, mind you who had always sold and offered the straight arrow, plain Jane VA loans was starting to offer something called the VA hybrid arm. How could this be? My office had done everything right when everyone else was wrong and was committed to only offering standard VA loans.
Management tried to teach me or educate me on why the VA hybrid arm was unlike the option arm I had seen ruin so many people’s dreams, but I just did not buy it. I am not forced to offer any particular loan product here and to this day am still not forced to do so. However, as time went on and more and more loan officers were finding success with Veterans who were moving into the VA hybrid arm I quickly realized I better do some more research. Now just because loan officers found success I knew from experience that this did not automatically mean it was a good loan to be offering the valiant men and women of our Armed forces, however, testimonial after testimonial were rolling in on why this loan was so good and why so many enjoyed it! My eyes had to start to open.
I was a product of my environment and had such a bad past experience selling ARM loans that it was going to be almost impossible to sway me. However, I also consider myself open minded and rather intelligent so I was going to head off as a skeptic and prove to my boss and all the other loan officers just why they should not be offering eligible VA loan holder the VA hybrid arm. I was certain this loan was not a good or safe alternative to the standard 30 yr fixed rate I had grown to rely so heavily on.
Now I could continue to write a bunch of content and words here as to where my research took me, or I could just tell you that if I were eligible for the VA hybrid loan at this point in my journey, I would get the hybrid loan on my own house! I am being honest. I have come a long way but can tell you that my study and attempt to tear down the hybrid loan has actually led me to envy those of you that have the ability to use it, while I a measly civilian cannot. Now the VA hybrid loan may not be for everyone, but I would invite you now to research, read, watch and discuss all that my company has to offer you as it pertains to VA hybrid loans. If nothing else set out on the same journey as I did and try to prove me and many others wrong. Try to explain how the VA hybrid is a bad idea for you. I think you will be interested in what you find.
To help you find out what I found out please see this unique web page designed to help you find out the truth about VA hybrid loans. It is a place where we have placed all you will need to know about the VA hybrid and dispel your own misconceptions. You will soon find out the following:
VA hybrids are safer than 30 yr fixed rates most of the time.
Why is the US the only developed nation to offer 30 yr fixed rates so abundantly?
What really caused the housing crash? It was not arm loans.
How long will you be in your current loan?
and much much more.
Please add your comments on the blog post as you start to realize these new ideas.